CSBC Corporation, Taiwan raises funds to expand merchant marine business, competing for 24 ship orders

A few days ago, CSBC Corporation, Taiwan announced that the company’s board of directors resolved to raise approximately NT$2 billion (approximately RMB 460 million) through a directed offering of private placement of common shares for the purpose of replenishing working capital.

According to Taiwanese media reports, CSBC Corporation, Taiwan’s fundraising will be used to expand its merchant shipbuilding and other businesses, aiming to secure orders for four tankers from an Asian shipowner and methanol dual-fuel-powered feeder containerships including 15 from Yang Ming Marine and five from Evergreen Marine.

It is reported that before 2015, CSBC Corporation, Taiwan was profitable continuously that mainly comes from the merchant marine business. Later, due to a variety of factors, CSBC Corporation, Taiwan lost its competitiveness in the commercial ship market.

After nearly 3 to 5 years of transformation and adjustment, CSBC Corporation, Taiwan has been concentrated in the construction of merchant ships, offshore wind power, petrochemical construction, defense equipment, “national shipbuilding” and other areas. However, in terms of merchant ships, Taiwan’s 3 major shipping companies have turned to Japan, South Korea, China and other places.

It is understood that the Taiwan government is ready to launch industrial support policies to help CSBC Corporation, Taiwan win orders. The report said CSBC Corporation, Taiwan expects to take orders if the gross margin can exceed 2 percent.

Yangzijiang Shipbuilding

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